Scandinavian Working Papers in Economics

HERO Online Working Paper Series,
University of Oslo, Health Economics Research Programme

No 2007:8: Endogenous Health Investment, Saving and Growth - A theoretical study with an application to Chinese data

Yan Chen ()
Additional contact information
Yan Chen: Department of Economics, Postal: HERO / Institute of Health Management and Health Economics, P.O. Box 1089 Blindern, NO-0317 Oslo, Norway

Abstract: The idea behind this thesis stems from the existing abundance of empirical studies suggesting the strong correlation between longevity and economic growth. In a simple two period overlappinggeneration framework, we establish a direct link between health investment and economic growth through endogenous survival rate. We find that health expenditure complements saving in equilibrium, thereby contributes to economic growth, which in turn leads to a further increase in health investment. The simulation with calibrated parameters also manifests the consistence between our results and the worldwide data as well as the fact of China.

Keywords: health investment; economic growth; China

JEL-codes: I31

51 pages, June 3, 2009

Full text files

HERO2007_8.pdf PDF-file 

Download statistics

Questions (including download problems) about the papers in this series should be directed to Kristi Brinkmann Lenander ()
Report other problems with accessing this service to Sune Karlsson ().

This page generated on 2024-02-05 17:13:16.